Dogecoin price retracts as the wider crypto market corrects and traders choose to book profit.
Dogecoin
DOGE
tickers down
$0.16
is down 5% today, hitting an intraday low of $0.16192 on May 28. This decline outpaces the broader crypto market, which fell around 1.47% over the same period. The dip in DOGE follows Bitcoin’s
BTC
tickers down
$70,999
3.2% drop in the past 24 hours.
Dogecoin open interest decline
DOGE has recently seen significant gains, rising over 7.5% in the past 30 days. However, the price started to turn down on May 22 and May 26, now trading 2.5% below its value from a week ago.
This decline coincides with a decrease in futures open interest (OI), which has dropped 37% from $1.67 billion in mid-April to $1.04 billion, according to Coinglass.
The funding rate for Dogecoin perpetual futures contracts also fell from 0.0243% on May 23 to 0.0118% on May 28.
Reduced funding rates and OI indicate bearish sentiment among traders, potentially increasing selling pressure on DOGE.
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The recent marketwide correction, which saw millions of dollars liquidated, has also impacted DOGE, bringing its price as low as $0.1512.
Whale activity, marked by large transactions involving $100,000 or more worth of DOGE, has increased.
According to IntoTheBlock, transactions worth between $100,000 and $1 million have risen by over 28% in the past week,
while transactions over $1 million have surged by more than 55% in the last 30 days. This uptick suggests institutional investors are cashing in on profits, reinforcing the ongoing correction.
